Does day trading give a large profit!!

[iTrade]

Hi Friends
I know few friends who do only day trading their profts are not huge between
2-3% they count 20X2.5% = 50% monthly they pick one or two stocks daily and they stick to strict stop loss. I personally watch them do daily, i may join these guys soon.
Aijaz

When it comes to money, we also would be interested to join them and learn their strategy as well

 

[radha55]

explain something about day trading..how does it beneficial??

Day Trading is trading of equities, futures,options or commodities on any single day.

Day Trading means, you buy and sell on the same day.

You either buy first and sell later
or
you sell first and buy later.

Day Trading can give you huge profit provided you follow some discipline in trading.

You should be smart to use your margin limit in day trading to earn more.

You should use proper strategies while doing day trading.

There are several day trading strategies explained here in traderji. Explore and read more.

 

[rajgreenpeace]

not realated

 

[rajgreenpeace]

sorry not related post

 

[sushant.nakate]

when u will be right side of market, u r always in profit if its intraday or positional

 

[GREENCANDLE]

Thread begin with a innocent quarry seems to go on interesting. Hence I would like to share my view on it. This is what common view about intraday trading among new be which is totally wrong.


Intraday trading isnt a gambling and a gambler never can make money. If it was so simple traders would be the richest citizens among all. It is hard earn living to its best. Making consisting profit and compounding it regularly is really tough job. It takes years to get actual success .Bkos it is not sufficient to learn TA alone just like we learned Newtons law or Einsteins theory in school or college. We should make our self so familiar with indicators that our reflex works in such a way like our hands move to hit a mosquito as soon as he bit us



Moreover u need proper money management technique to survive. There are so many theories but I m going to tell u my own story .I named it as MARKETAL LAW of money management.(anything learned from nature is natural hence nything fm mkt is marketal).I Came into stock market on 2008 when nifty level was 2600 unitech was 20 and most stock was undervalued by mkt.I was motivated by shouting of tv chanells.At that time I had no knowledge about TA or fundamental.I was just convinced by tv analyst that mkt is near bottom and we have very little to loss.at this level.I jumped in to mkt with my all hard earned money .Even I had withdraw my 2 FD of 1M from SBI.I use all my money( nearly 3.8M )to purchase good stocks according to tv analyst .No intraday ,no margin postion.becose I had no knowledge about it. One day I got a phone call from my broker that they had arranged a training program for us. I rushed to attend it. On that day I had test the blood, they inform me about margin.As bkos I was crazy to make money I had pumped anoter 50k in my trading account and start intraday like gambling. I managed to loss 50k within 3 month.but as my holing position was gainig more I ignore the loss and pump 10k ,10k and 5k in successive 3 months and subscribe a tips provider but end up with a totall loss of 75k after 6 month of my intradaytrading. At this point I got some sense(common sense)and stop intraday .I have ordered books of 2k fm vison book stores and start learning TA.After 3 months of studay I tested again with 5k and kicked back with in 2months.Then I have joined traderji got familiar with amibroker still I am trying to learn AFL.Though my total portfolio still gained by 2m after deducting intraday loss but I m felling necessity of money management to protect it.It is difficult 4 a trader to keep away fm mkt who once test the blood. Probably I need another one year to get expert. Till then it is necessary to protect my capital .I never do paper trading bkos it is meaningless 4 me. I cant learn fm paper trading bkos there is no risk associate with paper trading. Hence I made the following rules 4 me.

1)Use @2% of ur totall cash 4 intraday it is 14k 4 me.I use full margin of 14 k in evry trading day to generate more profit.Remaining 98% cash I use to BUY nd hold stocks like an investor.

2)Never convert my intraday for positional trade. 3)Never liquidate stocks in holding for intraday or never take position on ur stock in holding(my broker also doesnt allow it)

4)I never hold margin position overnight bkos I cant compromise with my sleep nd health. 5)I get a 10 times exposer ie 14*10=1.4m for intraday.I use 2% SL rule 6)Divide in 3 parts 50,50.,40hence risk with each trade=1k,1k, 800/-total=2.8k 7)Stop trading 4 that day if all the 3 SL hit in conjugative way. 8)I punished myself to kepp away fm market for that month if (i) losses become more than 10k or (ii) string losses for 3 conjugative days .To impose the punishment I open another savings account in icici bank in my wifes name nd get a gentlemens agreement with her .:!I transfer all my money fm my trading account to her account and let her to change password .Now I m just able to stop losses with this technique .I have punished just once during last4 months.My maximum profit was 6k in single day but never loss more then 2.8 k in a single day.Earlier I have lost more rhan 10k in a single trade.I shall happy if nybody can suggest me 4 further improvement.:cheers:​

 

[bluelover]

My experience........day trading is very dangerous...........

Every newcomer in stock market keep distance from it....

 

[Subhadip]

ya day trading is very dangerous

 

[kannamthanam]

ya day trading is very dangerous

yes of course day trading is dangerous.......well if you think about it walking on the road may be dangerous....if you don't keep your eyes open and follow the rules that pedestrians are expected to follow......or say think of working with electrical gadgets....it can be dangerous to someone who does not know the principles behind it or how those things function.......but for someone who has acquired the skill it is just routine work.....same with day trading.....successful traders have developed methods that suit their temperament - basically a system that would define your entry point/ exit point - both in profit and in loss/ and the trade size or risk assumed .....then it would require disciplined practice for quite some time before a daytrader reaches the level where watching the intraday chart he would recognise a trade set up automatically and all those entry/exit/stoploss/tradesize values would just come up without thinking about it- you concentrate on a few of the most liquid scrips to trade and do this over and over again......that is when you can trade "in the zone".....when you are able to trade without fear and greed and your net profit graph would show a higher high higher low pattern.............generally you should reach that level in a year or so ....if not, better quit daytrading..... as otherwise you would be risking ruin !!

 

[FERRO]

Thanks GreenCandle for sharing your valuable experience.

I will keep those notes on my Desktop and read it everytim before I commit the sin of day trading again.